Ottawa plans to increase property tax in 2020
Ottawa Councillors approve proposed 3% increase to the property tax rate.
On September 10, Ottawa’s Finance and Economic Development Committee released their recommendations for the 2020 draft budget, which included a proposed a three percent increase to the property tax rate.
These recommendations aim to relieve financial pressures following the cuts to provincial funding. The tax will help support municipal services, including police, library and public health.
At yesterday’s meeting, the Council approved the guidelines for the budget, including with the proposed tax increase. The full Budget 2020 will be reviewed for approval in December.
How will this affect property owners?
If you own property, your tax bill will be recalculated by multiplying the new tax rate with the assessed value of your property.
For residential property owners, the increase in property taxes will mean paying an extra $109 for the average urban homeowner and $77 for the average rural homeowner. For commercial property owners, property taxes will increase by an average of $229.
It’s expected that the increase property taxes will bring in $75 million next year to maintain municipal services and invest in infrastructure. As a growing city, property taxes are important to help maintain a good quality of living (Ottawa is ranked #19).
As a property owner, you must pay these taxes to your municipal government. So, it’s important to know how much your property tax bill will increase and to adjust your budget accordingly. Use our running costs calculator to find how this will affect your monthly expenses.